Marcellus Drilling News

Eclipse Resources | Energy Companies | Utica Shale

Utica Driller Eclipse Resources Talking IPO in 2014
November 6, 2013November 6, 2013

MDN has written several stories in the past about a small but rapidly growing driller in the Utica Shale–Eclipse Resources. In June we told you that Eclipse, headquartered in State College, PA, bought out Oxford Oil, adding to their Utica acreage portfolio (see Eclipse Resources buys Oxford Oil, Adds Another 49K Utica Acres). Eclipse currently has over 90,000 acres leased in the Utica and another 20,000 acres leased in the Marcellus Shale–all of the acreage located in Ohio.

Seeing the very successful Antero Resources initial public stock offering (Antero’s market capitalization as of today is $14.35 billion!), Eclipse wants some of that IPO action too. CEO Benjamin Hulburt, no stranger to running oil & gas companies (he co-founded Rex Energy), says Eclipse is looking at an IPO in the middle of 2014…
Read More “Utica Driller Eclipse Resources Talking IPO in 2014”
Anti-Drilling/Fossil Fuel | Industrywide Issues | Lorain County | Mahoning County | Ohio | Wood County (OH)

Economic Suicide Avoided in 2 OH Cities but Oberlin Pulls Trigger
November 6, 2013November 6, 2013

A happy note about yesterday’s elections in Ohio. Two communities where a so-called “community bill of rights” (anti-drilling ban flying under a different name) was on the ballot was voted down. In Youngstown (Mahoning County) this was the second time anti-drillers have tried to convince voters to commit economic suicide, but fortunately they didn’t (see Economic Suicide Attempt #2: Youngstown to Vote Again on Frack Ban). The voters in Bowling Green (Wood County) also decided to vote down a ban–even though there is no recoverable Utica Shale under Bowling Green. Freedom is always a smart choice–good decision Bowling Green.

However, voters in a third OH community, Oberlin (Lorain County), where there likely is recoverable Utica Shale gas, sadly decided to pull the trigger and commit economic suicide…
Read More “Economic Suicide Avoided in 2 OH Cities but Oberlin Pulls Trigger”
Energy Companies | Pennsylvania | Susquehanna County | Talisman Energy

Talisman 3Q13: Marcellus Production Up 4%, Avg 443 Mmcf/d
November 6, 2013November 6, 2013

Talisman Energy released their third quarter financial and operations update today. Talisman, a Canadian company, is a major driller in the Marcellus Shale, among other plays both here and around the world. In this update, Talisman CEO Hal Kvisle gives a big thumbs up to the Marcellus. In his opening remarks he comments: “We are achieving excellent results in the Marcellus, sustaining gas production rates through production optimization and a modest drilling program.”

In this really, really, really long 3Q13 update, Talisman says both production and cash flow are up company-wide for the quarter, and drilling costs are down. We’ve extracted out the information from the update on Talisman’s Marcellus drilling program, which is really, really short–but enlightening nonetheless:
Read More “Talisman 3Q13: Marcellus Production Up 4%, Avg 443 Mmcf/d”
Best of the Rest

Marcellus & Utica Shale Story Links: Wed, Nov 6, 2013
November 6, 2013November 6, 2013

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:
Read More “Marcellus & Utica Shale Story Links: Wed, Nov 6, 2013”
Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Research | Soil | Statewide PA | Wastewater

MSC/PIOGA Team Up to Study Radiation in Shale Drilling
November 5, 2013November 5, 2013

In January 2013, MDN brought you the news that the Pennsylvania Dept. of Environmental Protection (DEP) was launching a 12-14 month study of radiation in shale drilling (see PA DEP Announces New Study of Radiation in Shale Drilling).

Yesterday the Marcellus Shale Coalition (MSC) and the Pennsylvania Independent Oil and Gas Association (PIOGA) announced a joint effort to conduct their own study of radiation in shale drilling. The two organizations say their study will “complement” the study now being done by the DEP. Yesterday’s announcement raises some important questions:

Read More “MSC/PIOGA Team Up to Study Radiation in Shale Drilling”
Accidents | Energy Companies | Industrywide Issues | Litigation | Lycoming County | Pennsylvania | Wastewater | XTO

PA AG Pressures Judge to Step Aside in XTO Spill Case
November 5, 2013November 5, 2013

A quick update on the political persecution being shamefully conducted by Pennsylvania’s new Attorney General Kathleen Kane against XTO Energy (see PA AG Abuses Her Authority, Files Criminal Charges Against XTO). Kane is attempting to turn a 3 year-old accidental spill into a criminal case–beyond imagination.

Kane continues to abuse her power. She has pressured the judge who would have heard the XTO case to recuse himself because he has a share/interest in a gas lease. The judge’s lease is not with XTO, but that’s not good enough for anti-drilling Kane. She wanted him gone–so he’s gone…
Read More “PA AG Pressures Judge to Step Aside in XTO Spill Case”
Hydraulic Fracturing | Industrywide Issues

Meet the Frackers: New Book Details Miracle of Fracking History
November 5, 2013

A new book is being released today titled The Frackers: The Outrageous Inside Story of the New Billionaire Wildcatters. It’s written by Gregory Zuckerman, reporter with the Wall Street Journal, and it delves into the story behind what MDN calls an energy miracle–the combination of hydraulic fracturing (“fracking”) and horizontal drilling. Looks like this one is a must-buy-and-read!

MDN friend Bob Downing from the Akron Beacon Journal wrote the following detailed review on what he calls a “fascinating new book”…
Read More “Meet the Frackers: New Book Details Miracle of Fracking History”
Energy Companies | Gulfport Energy | Utica Shale

An Update on Utica Shale’s #2 Driller – Gulfport Energy
November 5, 2013

As Gulfport Energy gets ready to release its third quarter update today, GuruFocus provides a helpful overview of Gulfport’s recent drilling and production, particularly in the Utica Shale which is now Gulfport’s number one producing play. Gulfport is the #2 driller in the Utica behind Chesapeake Energy.

We found this interesting and thought you might too…
Read More “An Update on Utica Shale’s #2 Driller – Gulfport Energy”
Energy Services | Industrywide Issues | Pipelines | Transco | Williams

Transco NE Upgrade Complete, Marcellus Gas Flows to 1M New Homes
November 5, 2013November 5, 2013

MDN told you yesterday that Kinder Morgan had started flowing natual gas through their newly added Northeast Upgrade to the Tennessee Gas Pipeline (see Kinder Morgan Opens the Valves on TGP Northeast Upgrade). That upgrade brought an additional 636,000 dekatherms per day of additional capacity to the system–enough gas to meet the needs of 2.5 million homes. Right on the heels of that announcement Williams Partners announced they have completed their Transco pipeline upgrade–the Northeast Supply Link Expansion. Williams started flowing gas through the remainder of the Transco upgrade last Friday.

The Transco expansion adds another 250,000 dekatherms per day, enough gas to meet the needs of 1 million homes. The new gas that’s flowing through both the Williams and TGP pipeline upgrades comes from the Marcellus Shale and services East Coast cities like New York, Philadelphia, Washington, DC, Atlanta and Charlotte. The announcement from Williams says (a) their project came online ahead of schedule, in time for the 2013-2014 winter heating season, and (b) they’re in the midst of spending another $1.5 billion on infrastructure projects in the Marcellus/Utica–right now…
Read More “Transco NE Upgrade Complete, Marcellus Gas Flows to 1M New Homes”
Industrywide Issues | Ohio | Pipelines | Regulation | Statewide OH

PUCO Now Regulates Gathering Pipelines in Ohio
November 5, 2013November 5, 2013

Until last week, no one state (or federal) agency was responsible for regulating gathering pipelines in Ohio–the pipelines that go from individual wells to either a processing plant or a larger transmission pipeline. Other types of pipelines are regulated by a mish mash of state and federal agencies, but not the gathering lines themselves. However, last week the Public Utilities Commission of Ohio (PUCO) adopted new rules into the Ohio Administrative Code as provided for by Senate Bill 315 of the 129th General Assembly that takes care of that loophole.

Effective now, PUCO regulates gathering pipelines in Ohio…
Read More “PUCO Now Regulates Gathering Pipelines in Ohio”
Carrizo Oil & Gas | Energy Companies | Ohio | Pennsylvania | Statewide OH | Statewide PA | Utica Shale

Carrizo Down on Marcellus, Up on Utica and Other Wet/Oil Plays
November 5, 2013November 5, 2013

Carrizo Oil & Gas is a driller in both the Marcellus and Utica Shale, as well as several other non-northeast shale plays. Carrizo released their third quarter operations and financial update yesterday. Although Carrizo’s current drilling program is focused primarily in the Eagle Ford and the Niobrara, they continue to drill in the Marcellus (some). In 3Q13 Carrizo picked up an additional 5,900 net acres in the Utica Shale, increasing their acreage in the Utica to 21,700.

Carrizo isn’t so happy with the Marcellus right now because of low commodity prices for dry gas (methane). They’re more happy with the Utica because of wet gas production. Below are select (brief) sections from yesterday’s update relevant to the Marcellus/Utica:
Read More “Carrizo Down on Marcellus, Up on Utica and Other Wet/Oil Plays”
Energy Companies | Pennsylvania | Southwestern Energy | Statewide PA

Southwestern 3Q13: Marcellus Production Doubled from Last Year
November 5, 2013November 5, 2013

Last week Southwestern Energy released their third quarter operations and financial update. Southwestern is a large and important driller in the Marcellus Shale–particularly in northeastern Pennsylvania. They also have an active drilling program in several other shale plays. In the Marcellus, Southwestern’s production shot up 196% (nearly doubled!) over the same time last year. They now produce 600 million cubic feet per day (Mmcf/d) and predict they will be producing over 1 billion cubic feet per day by the end of 2015.

Here’s the beginning portion of the Southwestern update from last week, which includes details about their Marcellus drilling program:
Read More “Southwestern 3Q13: Marcellus Production Doubled from Last Year”
Energy Companies | Stone Energy

Stone Energy 3Q13: Drilling 30 Marcellus Wells, Testing UD
November 5, 2013November 5, 2013

Stone Energy is mostly an off-shore driller with a number of rigs and operations off the shores of the U.S. However, their one on-shore drilling program is in the Marcellus Shale. They’re also starting to drill test wells in the Upper Devonian (also in the northeast, same area, different shale layer).

Stone issued their third quarter 2013 update yesterday. Here are the mentions of Stone’s operations in the Marcellus and UD:
Read More “Stone Energy 3Q13: Drilling 30 Marcellus Wells, Testing UD”
Best of the Rest

Marcellus & Utica Shale Story Links: Tue, Nov 5, 2013
November 5, 2013November 5, 2013

The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:
Read More “Marcellus & Utica Shale Story Links: Tue, Nov 5, 2013”
Industrywide Issues | Regulation | Wastewater

More on Coast Guard Plan to Allow Barging of Frack Wastewater
November 4, 2013

Last week MDN told you the U.S. Coast Guard is in the process of green lighting the barge shipment of frack wastewater and brine (see Coast Guard Green Lights Barge Transport of Frack Wastewater). MDN has tracked down the 25-page proposed policy “letter” issued by the Coast Guard–the rules that will need to be followed by those who want to use barges to ship wastewater (full copy embedded below). In addition, we also discovered the website the Coast Guard is using to elicit public comments.

So far, there are nine comments on the public comment page (they’re currently displaying only nine of 29 they’ve received), all of them against barge shipment of frack wastwater (see this page). MDN editor Jim Willis filled out his own comment in support of barge shipments (which hopefully will show up soon). What about other pro-drillers who read MDN? You might want to consider stopping by this page to leave a comment that supports barge shipments of frack wastewater…
Read More “More on Coast Guard Plan to Allow Barging of Frack Wastewater”
Pleasants County | Statewide WV | West Virginia | Wood County

Drilling Creeps Southward According to WV County Clerks
November 4, 2013November 4, 2013

The land records room at the Wood County, WV Courthouse has not seen a lot of oil and gas lease research–yet. But that may change. When the records room for a given county starts to be overrun with researchers, that’s a sure sign that Marcellus (or Utica) Shale drilling is on the way. The very first thing that happens is researchers must locate who owns a given property, and then landmen head into the field to get them to sign a lease. So when a land records rooms becomes congested, you know it’s not long until leases are signed and drilling begins.

Woods County Clerk Mark Rhodes says he’s been told researchers have descended on neighboring Pleasants County (northeast of Woods) and that the crowd of researchers in Pleasants will migrate south to Woods in about six months. Here’s an inside look at the challenges faced in tracking down who owns the mineral rights for a given piece of property–especially in WV where mineral rights were severed from surface rights for many landowners years ago…
Read More “Drilling Creeps Southward According to WV County Clerks”